MINUTES
OF MEETING
PORT
OF THE
COMMUNITY
IMPROVEMENT DISTRICT
The
regular meeting of the Board of Supervisors of the Port of the Islands
Community Improvement District was held
Present and constituting a quorum
were:
Bernard
Wolsky Vice
Chairman
Leonard
Gross Supervisor
Ted
Bissell Supervisor
Also present were:
Darrin
Mossing
Dan
Cox Young
Van Assenderp
Ron
Benson Hole Montes
Tim
Stephend District
Staff
residents
FIRST
ORDER OF BUSINESS Roll
Call
Mr.
Wolsky called the meeting to order and stated that all Supervisors were present
at roll call with the exception of Supervisors Gatti and Burgeson.
SECOND
ORDER OF BUSINESS Approval of Minutes of the May 15, 2001
Meeting
ON MOTION by Mr. Bissell, seconded by Mr. Gross, with all in
favor, the Board approved the minutes of the May 15, 2001 Minutes as presented.
Mr. Mossing presented the audited
financial statements for Fiscal Year ended
The Board questioned the uncollectible
revenues and bad debt in the amount of $96,864.
Mr. Mossing explained that the $96,864 is
made up of four years of uncollected receivables from various properties. A
reserve fund is being set up although the amount has been deemed uncollectible
based upon the time that has elapsed since the billings occurred. Collection of
the bad debt will be dealt with if and when the specific properties are
developed.
The Board questioned Page 16 of the
audited financials where it states “the District is obligated in some manner to
assume payment of the related debt service in the event of default by the property
owners.”
Mr. Cox stated that he would look further
into the matter and give a full report at the next meeting.
The Board questioned the technical state
of emergency status of the District.
Mr. Cox responded that the requirement of
the statute has been satisfied and that the Governor and Legislature have been
notified. He further stated that there were not sufficient funds to make the
May 1, 2001 debt service payment and that the bondholder instructed the trustee
to release all of the funds except for $100,000 which are to be used for the
legal defense of the litigation that was recently entered against the District.
Mr. Mossing clarified that the net loss
incurred by the Enterprise Fund is not related to the financial emergency of
the bond issue. The net loss in the Enterprise Fund is related to the
depreciation by the auditors of the plant and the bad debt of the receivables.
ON MOTION by Mr. Bissell, seconded by Mr. Gross, with all in
favor, the Board accepted the Audit for Fiscal Year Ended
FOURTH ORDER OF BUSINESS Discussion of Proposed Budget for Fiscal Year 2001/2002
FIFTH ORDER OF BUSINESS Discussion of 2000 Annual Drinking Water
Quality Report
Mr.
Mossing informed the Board that the 2000 Annual Drinking Water Quality Report
is a required annual report. It is posted at various locations within the
District.
SIXTH ORDER OF BUSINESS Discussion
of the Stella Maris Stormwater Management System
Dr. Benson stated that the Stella Maris
Homeowners Association is responsible for the maintenance and operation of
their stormwater system and therefore is not a District issue.
Dr. Benson stated that upon his
recommendation Mr. Stephens met with three local painting companies and asked
for proposals to paint the water tanks.
The proposals have been reviewed by Mr.
Stephen and Dr. Benson and references have been checked. The proposals were for
$9,356, 10,200 and $10,568.
Dr. Benson recommended that the District
hire Four Seasons Painting to clean, repair and paint the water tanks based on
their proposal.
ON MOTION by Mr. Bissell, seconded by Mr. Gross, with all in
favor, the Board awarded the Painting of the Water Tanks to Four Seasons
Painting.
A. Attorney
There not being any, the next item followed,
B. Engineer
Dr. Benson stated that he had prepared a
memorandum to the Board regarding a proposal to utilize the hotel as an adult
living facility. Dr. Benson’s opinion was that the use of ERC’s would be
comparable based on the fact that the hotel would serve the same amount of
people. He then addressed the issue of excess chlorine in the District’s water
and recommended that the District acquire either an automatic or manual device
to flush the water lines.
Mr. Mossing suggested that the cost of the
automatic device be placed on the budget for Fiscal Year 2002. The estimated
price is $3,000.
Dr. Benson stated that he has been informed by
C. Manager
Mr. Mossing recommended that the District
increase its rates in order to fund the Renewal and Replacement line item in
the amount of $95,000 via the standby fees.
The Board asked whether the entire $95,000 would
be funded with the standby fees.
Mr. Mossing responded
that yes, it would be and went on to explain that the budget has been broken
down between fixed costs and variable costs. The variable costs would be funded
through the user charges on the utility bills and the fixed costs would be
allocated to all of the property owners. He then requested authorization to
advertise a public hearing to be held on
ON MOTION by Mr. Gross, seconded by Mr. Bissell, with all in
favor, the Board authorized staff to advertise a public hearing to be held on
D. Field Manager
There not being any, the next item
followed,
NINTH
ORDER OF BUSINESS Supervisor's
Requests and Audience Comments
An audience member asked when repairs will be
made to
Mr. Gross responded that a contractor has been
contacted.
An audience member asked whether after seven
years the debt on the delinquent properties would be forgiven and whether the
county would take over the property.
Mr. Cox responded that the debt would be
forgiven and that the county would probably convey the land to the District
since it is the municipality in which the land lies.
The Board asked what the possibilities were of
having the bondholder foreclose on the delinquent property in order to avoid
having the county convey the land to a third party.
Mr. Cox responded that the foreclosure would be
initiated by the District and based on the current litigation it would be best
not to discuss it.
TENTH
ORDER OF BUSINESS Financial
Statements and Approval of Check Registers
On MOTION by Mr. Bissell, seconded by Mr.
Gross, with all in favor the General Fund Check Register in the amount of
$17,931.14 and the Water & Sewer Fund Check Register in the amount of
$22,303.77 were approved.
On MOTION by Mr. Gross, seconded by Mr.
Bissell, with all in favor the
Darrin S. Mossing Richard Gatti
Assistant Secretary Chairman